Manufacturer and distributor of office furniture across the corporate, health, education and retail sectors, Southernsbroadstock, has reported flat sales alongside widening losses.

According to its latest filed accounts for the year ended 30 June 2022, total sales were £23.3m, consistent with revenues in 2021. Pre-tax losses widening to £1.9m from £82,000.

Stated within its report, the company said that during the year it withdrew from unprofitable market sectors and reviewed spend activity as well as rescue key customer frameworks within the university and government sectors.

Furthermore, the business underwent a review and restructure to secure the long-term funding and a solid balance sheet platform to capitalise on future growth opportunities in the office furniture supply sector.  

This included the acquisition by Broadstock Holdings Limited – which also acquired SID 2002 Realisations Limited and Ralph Capper Interiors Limited – to create a newly formed group structure, putting in place long-term funding from Tosca Debt Capital LLP, the majority shareholder, and Shawbrook Bank.

“This represents a very positive and secure financial step for the business from which future growth potential can be fully capitalised upon,” the company added.

“The directors believe there is further opportunity for the business to expand into new customer frameworks and improve margin performance and expects public sector spend will make up c35% of revenues in the year to 30 June 2023, which will reduce our reliance on the company’s historic customer base within the education sector.”